Tropicana picks a buyer—three cheers for the Co-Op Negotiating Committee!

Three cheers for Tropicana Co-Op. ©. Paul Goldfinger photo.

 

3/31/21   The Negotiating Committee meticulously reviewed 5 solid offers, but they came back, ironically, to Murex/Carlyle  which had reinvented itself to please the Co-Op.

In a Zoom-phone presentation, with Power-Point,  in front of a substantial number of shareholders in the Clubhouse, members of the Committee along with attorney Brian Chase reviewed the entire process while explaining their decision.

The Committee deserves the praise and gratitude of all in the park, including 723 renters and shareholders.  They did an enormous amount of work in pursuing the best answer.

We also congratulate and thank those shareholders who voted to turn down earlier Murex deals.  Some of us thought they were wrong, but they saw the chance to do better, and they were right!  Next stop for them should be Vegas.

From a business perspective, this is only the 5th or 6th time that a Florida Co-Op manufactured home park has gone back to private single entity.  So our sale will attract attention among all those financial companies that are interested in such deals.

The shareholders, of course, will be earning a terrific return on investment, but the bulk of the citizens in the park are renters/homeowners, and they will benefit as well, however  in a multitude of other ways.

There is a detailed plan and schedule to follow before the transfer of power  (closing) occurs, hopefully in August.  Then the park will need a new name, and everyone will pay the same rental schedule per month,  including taxes and water,  which will be considerably less than many nice parks.   Everyone will get a benefit in terms of rent stability.

Once the buyer takes over, Murex will supply management, but our current staff will be kept on board.  We can look forward to major “infrastructure” work to be done as well as encouragement to fix  up our houses.

The buyer will have an incentive to make the park look terrific, and that will influence the price for future renters and land leasers and for the value of our houses.

Our lawyer has encouraged us not to discuss the details of the deal including the offers from other bidders.  The word will leak out, but the Forum will not be the one to violate the promise.  It is in the best interest of all concerned to maintain the confidentiality of all those numbers.

Since the deal could fall through, although not likely, Brian Chase advises shareholders not to “count your chickens before they hatch.”

After a civilized question and answer session, the meeting closed with applause and grateful laughter all around.

 

Paul Goldfinger, MD, TropicanaForum.com Editor.

4/1/21

 

ELSIE BIANCHI: